New data reveals that Bitcoin miners are becoming less active on the network, with their share of transaction volume dropping to the lowest levels seen in nearly two years.
This trend coincides with a significant geographic shift in mining power, as the United States now accounts for the vast majority of global Bitcoin mining.
According to blockchain analytics firm Sentora, miner-related transactions currently make up just 3.3% of total Bitcoin volume—a steep decline from last year when miners at times contributed over 20%. The current level mirrors figures last observed during the late 2022 market bottom, suggesting a broader slowdown in miner-driven activity.
Historically, elevated miner volume has been tied to increased selling, as miners often move coins to fund operations or realize profits. The current downturn could imply reduced selling pressure, though the long-term market impact remains unclear.
Meanwhile, a separate report from the Cambridge Centre for Alternative Finance highlights the United States’ rapid rise as the central hub of Bitcoin mining. In just four years, the U.S. has gone from hosting a minor fraction of global hashrate to dominating it entirely—now accounting for 75% of all reported mining activity. This follows China’s sweeping ban on mining in 2021, which forced a mass exodus of miners.
The study also confirmed that the average electricity cost for miners remains around $45 per megawatt-hour, validating long-standing assumptions used by analysts to model Bitcoin’s production cost. Electricity represents the lion’s share of a miner’s expenses—up to 80%—making it a critical factor in determining profitability.
Some analysts view production cost as a key metric for identifying potential entry points for long-term Bitcoin investors. With verified cost inputs and a changing landscape of miner behavior, new patterns may emerge that reshape how the market responds to mining dynamics going forward.
The combination of dwindling miner activity and U.S. dominance suggests that Bitcoin’s infrastructure is becoming more concentrated and potentially more stable, but it also raises questions about decentralization and future regulatory implications.
Source: https://coindoo.com/bitcoin-miner-activity-drops-to-lowest-level-since-2022/